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Power Lines F E BR U ARY

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Connections Card expands discounts

Stay current during an outage By Tim Velder, PRECorp Marketing Communications

Power Lines

Outages happen. Snow, storms, high winds, traffic accidents, intruding animals, vandalism, equipment malfunctions, and construction accidents are among the many causes Report an of power outages. outage at We ask mem1-888-391-6220 bers to report what they heard before the power went out, and if they can see a downed line or damaged equipment. The more information a member can report about the outage circumstances, the better our crews are able to assist. PRECorp warns however, that the public must avoid downed power lines. During a widespread outage, PRECorp will update the outage map at, Twitter, Facebook, plus our integrated voice response system. We will also contact local radio

POWDER RIVER ENERGY CORPORATION 221 Main Street • P.O. Box 930 • Sundance, WY 82729 1-800-442-3630 • Report an Outage: 1-888-391-6220

stations about restoration efforts. Keeping your account information up-to-date helps us help you. When outages occur PRECorp relies on accurate phone numbers, account information and service descriptions. It helps us to know which address is the billing address and which one is the location address. For rental properties and seasonal accounts, it is also important to keep account information current. Account information can be changed by reviewing your bill, writing your changes on the bill and mailing it back to PRECorp with your payment or by calling one of our Member Service Representatives. Reminder: When you experience a power outage, be sure to call our specific outage number. Don’t assume we know you are without power.

Co-op Connections card discounts will expand beyond prescription medication with the addition of new discounts with local and national providers of chiropractic, dental, vision, hearing, lab, and imaging services through the card. With the new Healthy Savings package members will receive no-cost access to the following discounted health benefits: • Discounts on prescription drugs at national and regional pharmacies • Savings on general dentistry, and specialty dental care • Savings on eyewear and eyecare, LASIK and other laser surgeries, and replacement contact lenses • Free hearing screening and savings on hearing aids • Savings off usual charges for MRI, CT and other lab procedures. • Savings on diagnostic services and treatments. PRECorp members will receive new stickers for their cards in their April 2012 billing statement. Cards may also be printed online. This is not a health insurance program and is intended to be used as a discount for people who do not carry health insurance.

As an official publication of Powder River Energy Corporation, the purpose of Power Lines is to communicate to member/customers information concerning their electric cooperative, and to offer suggestions and ideas regarding the safe, efficient, and economical use of electric energy. Back issues of the Power Lines can be found on PRECorp’s website at:

Power Lines

Cost Of Power Adjustment set for 2012 In preceding issues of the WREN, we told you about an increase in the cost of power PRECorp purchases from its power supply wholesaler, Basin Electric Power Cooperative. That increase took effect in October, and resulted in an estimated increase of $4.9 million in power cost over what was budgeted for 2011. We also explained that PRECorp had developed a plan to absorb the power cost increase we saw in 2011, which means that it would not be passed through to our members in their own power bills. PRECorp filed an application containing that plan with the Wyoming Public Service Commission, and it was approved by the Commission in an Open Meeting held on November 17, 2011. Some of the elements of that plan changed with further developments as 2011 ended, but the intent and purpose of the plan was preserved, and the power cost increases in October, November, and December were not, and will not, be billed to PRECorp’s members. PRECorp is always striving to manage our costs while providing high quality and reliable power, and the cost of the power we purchase from Basin and deliver to you is by far the greatest expense the Cooperative has every year. PRECorp uses a rate mechanism known as the Cost of Power Adjustment (COPA) to manage the impact of changes in cost of power. It’s important to remember that the COPA only recovers the cost of power we buy from Basin, and therefore a change in the COPA is appropriate when Basin changes its own rates. While PRECorp’s Board of Directors chose to absorb the increase for the last three months of 2011, it was necessary to employ the COPA mechanism to ensure that PRECorp recovers the cost of power it purchases in 2012. An application for approval of the 2012 Cost of Power Adjustment was filed with the Public Service Commission on December 1, 2011. Although the Open Meeting of the Commission to consider the application had not been convened by press time for this issue of Power Lines, the application contained the following elements. The increase in

the Basin wholesale rate was approximately 13%. The existing and proposed COPA factors per kWh, and the resulting change in revenues, are: EXISTING AND PROPOSED COPA FACTORS



All Rate Classes (except LPT and LPT-CBM) .002797 .009635 $ 10,537,019 LPT



$ 9,096,972

LPT-CBM .003677



Total change in COPA Revenue


$ 20,271,963

The impact of the change in the COPA will vary from customer to customer based on the usage patterns of the individual accounts. Residential customers with the following average kWh usage amounts will see these approximate increases in their bills: Monthly Avg. $ Avg. kWh Increase % Increase 500












The requested effective date of the new COPA was January 10, 2012. You can visit our website,, and input your own monthly usage into a bill calculator, located on the appropriate page for your service type, to determine the change in your monthly bill resulting from the new COPA. You can also find a copy of the COPA application filed with the Commission on the “Company & News” page, in the “Public Service Commission” link. If you have any questions or concerns regarding the implementation of the COPA we encourage you to call our offices at 800-442-3630. We will do our best to answer your questions, and we can also provide information regarding energy efficiency and conservation programs that may help you reduce your monthly bill.

Residential Heat Rate meters simplified for 2012 In 2012 PRECorp is making the special electric heat rate even easier for members take advantage of a Basin Electric credit program. The Residential Heat Rate (RHR) is offered to residential members who have permanent electric resistance heat, cove, and/or an electric heat-pump space heating system. Members now have simplified procedure to in-

stall equipment to meter the electric heat load separately from other usage in the home. With the new meters, there is less wiring and time required for the procedure. The heat rate allows residential members to receive a credit of 2.191 cents per kilowatt hour for the electricity they use to heat their homes between October and April.